MercoPress. South Atlantic News Agency
Despite great agriculture performance Brazil’s economy first quarter result disappoints
Soy production rose 23.3% and corn, 9.1% Brazil's economy grew 0.6% in the first quarter of 2013, compared with the final quarter of last year, the government said this week. The figure could confirm official projections that the economy would recover following the slowdown experienced over the past two years.
Brazil’s GDP grew 1.9% in the first quarter, compared to the same period last year, the Brazilian Institute of Geography and Statistics, or IBGE, said.
The first-quarter GDP number, however, came in below government and economists' projections of 0.80% to 1% growth in the January-March period, but it bolstered expectations that Brazil's economy could start recovering in 2013.
The Brazilian economy grew 7.5% in 2010, marking its best performance in a decade, but then expanded by only 2.7% in 2011 and 0.90% last year.
The government expects the economy to grow between 3 and 4% this year, but private sector analysts are forecasting growth of 2.93% this year and 3.5% in 2014.
The agricultural industry, whose production surged 9.7% was responsible for most of the growth between the fourth quarter of 2012 and the first quarter of this year, the IBGE said.
The service sector grew just 0.50% and manufacturing expanded at a rate of only 0.30% during the same period, the IBGE said.
The agricultural industry's solid performance was mainly due to soy production, which rose 23.3%, compared to the first quarter of 2012, while corn production grew 9.1%, tobacco output rose 5.7% and rice production increased 5.1%.
Top Comments
Disclaimer & comment rules-
-
-
Read all commentsVery good performance by the agricultural sector and I do not remember any tax breaks or subsidies being involved.
May 31st, 2013 - 12:36 pm 0Pity that mollycoddling the auto, white goods and ethanol production just delays the inevitable day of reckoning when they all have to stand on their own two feet in the rest of the world.
Only then will Brasil be truly in the big league that Dilma so desperately wants.
I wasn't disappointed ;) , in fact I expect the “growth” to be lowered when they revise this figure in coming months/years. Brazil's just a boom and buster like Argentina, forever to be mismanaged
May 31st, 2013 - 12:52 pm 0Anyone remember CFK's minions thinking the Brazil economy would be their saviour....
May 31st, 2013 - 04:18 pm 0I told them they were wrong
I never get tired of being right
Commenting for this story is now closed.
If you have a Facebook account, become a fan and comment on our Facebook Page!